Real Estate News Radio with Rowena Patton

Timing the Market: Real Estate Advice for Grandkids and Downsizing Tips for Boomers

June 04, 2024 Rowena Patton
Timing the Market: Real Estate Advice for Grandkids and Downsizing Tips for Boomers
Real Estate News Radio with Rowena Patton
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Real Estate News Radio with Rowena Patton
Timing the Market: Real Estate Advice for Grandkids and Downsizing Tips for Boomers
Jun 04, 2024
Rowena Patton

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Is now the right moment for your grandkids to step into the property market, or should they hold off? Join us as we engage with Pete from Black Mountain, a beloved long-time listener, who wrestles with this exact dilemma. Pete opens up about his desire for his grandkids to plant roots nearby, sparking a broader conversation about different real estate strategies—whether it’s renting first, moving in temporarily with family, or taking the plunge into buying a home right away. We dissect various scenarios and provide tailored advice, making this episode a treasure trove for anyone pondering similar moves.

If you’re in your 50s or 60s and contemplating downsizing, you won’t want to miss our deep dive into the financial and lifestyle benefits of moving into a smaller, more manageable home. We break down the current market forecasts and share essential tips on timing and strategy to maximize your equity. Whether you’re thinking about selling your large family home to embrace a simpler life in a condo, or just looking to optimize your living situation, this episode is filled with actionable insights and expert guidance to help you make informed decisions.

Show Notes Transcript

Send us a Text Message.

Is now the right moment for your grandkids to step into the property market, or should they hold off? Join us as we engage with Pete from Black Mountain, a beloved long-time listener, who wrestles with this exact dilemma. Pete opens up about his desire for his grandkids to plant roots nearby, sparking a broader conversation about different real estate strategies—whether it’s renting first, moving in temporarily with family, or taking the plunge into buying a home right away. We dissect various scenarios and provide tailored advice, making this episode a treasure trove for anyone pondering similar moves.

If you’re in your 50s or 60s and contemplating downsizing, you won’t want to miss our deep dive into the financial and lifestyle benefits of moving into a smaller, more manageable home. We break down the current market forecasts and share essential tips on timing and strategy to maximize your equity. Whether you’re thinking about selling your large family home to embrace a simpler life in a condo, or just looking to optimize your living situation, this episode is filled with actionable insights and expert guidance to help you make informed decisions.

Speaker 1:

let's go to. I want to do a local one here. So, uh, this is actually pete, who lives in black mountain. I've spoken to him before on the radio. He has listened a whole bunch of time. Hey, pete, how you doing? Tell me your story good morning roe.

Speaker 2:

It's pete. I live in black mountain, just so you know. They will carry me out of here in a box, but I am wondering if it is time for one of my grandkids to purchase here, or wait a bit. What do you think? My english girl in the mountains love listening to you every week oh, he's my sweetie, pete and black mountain.

Speaker 1:

Thank you so much. Well, obviously you want to get I know the grandkid you're talking about, that you want to get over here. That is lovely and I totally get it. So you know, what would be interesting is to know a bit more about and, just so you know, if you want to call in and leave this or just say, hey, I need Ro to call me back because you don't want to talk to our receptionist. It's all confidential because your story helps. Knowing what your intention is really helps. So the first question I would ask Pete if he hadn't dropped off the line here right now, can we get Pete back?

Speaker 1:

Yes we can. Let's see if we can get Pete back.

Speaker 2:

No, no, I can't. No, I can't. I'm sorry, Okay okay.

Speaker 1:

So, pete, here's the thing. It would really help Call back in if you're still listening. I know you all turn your radios off so it's not reverberating when you call in. So where your grandkid's coming from is very important, because if your grandkid is renting there now and wants to rent here, you know, maybe he can stay with you for a while. Maybe your house is big enough for him to stay with you for a while. You may not want that, but they may just be looking to move here. So it's the same thing for Michael in Allentown, pennsylvania. If I've got time, I'll jump over there as well. So it's all about looking about exactly where you're going or whether you're open to different areas, right? So, pete, I think that you want him to be in Black Mountain, close to you. So let's have a quick look at the numbers in Black Mountain and then I'll go over to Allentown, pennsylvania. Remember, I can do this for you any single zip code in the country, and I can get it all down to the street where you live, including your neighborhood too. This is so fun. This is the fun bit of real estate for me, honestly, because I can give you if I can give you this information.

Speaker 1:

You've all got different scenarios right. Some of you are just looking to move down the street. Some of them you are, you know, intelligent and you know that you've got a whole bunch of equity in your house you would rather take some of it out to your house, because you're in your 60s maybe, or your 50s, and you know now is the time to do it, because you don't want to wait another 10 years for it to be at the top again with all the forecasts that we're seeing in most places. So you want to get out now. And what does that look like and what do we need to do to get you out now? So it depends on your strategy and what you're doing.

Speaker 1:

If you're pulling out money and you've got, you know, maybe you're right sizing. Well, right sizing means you're going to buy a house. That's less money. If you're in a $600,000 house right now and maybe there's just one of you and you're thinking about going into a condo, for example, maybe you're in your 60s or 70s and you don't want the hassle of maintenance anymore, well, that condo is going to be half the price. So you're releasing, let's say, $600,000, $300,000 in equity. Well, the chances are, if prices go down for the next three and a half to five and a half years, you'll be releasing less equity. I mean, are you losing money? Depends on how you look at it. I guess you didn't have that money in the first place.

Speaker 1:

However, if you're ready to make the move, you need to make it sooner rather than later. Is the point there? If you don't care, and maybe you're 15, you're like, whatever, I'll do it when I'm 16. You can hold off in your house, great, you'll get twice as much. And again, this is average right Depends on the street. You're on the condition of your house. Everything else Very interesting.

Speaker 1:

So days on market 2021, 2022 were down at 22. The average is 49 across since 2017 to 2024. So that's our baseline. We're at that baseline now. However, last year it was sitting a little bit longer, so it's come down a little bit. Based on June last year, they're actually selling a little bit faster.

Speaker 1:

That would be another reason to say go ahead and put it on the market now, because your day, but your days on market guys, are going to be a month and a half right, and then you go into contract, so it's going to take us. I can get you seriously. I've had them on in a day before but you're probably not in that much of a rush. So let's say we get you on by June 10th. I've got two spots left next week. Call 828-333-4483. I've got other agents who can come see you as well. Me personally, I have two spots left. I've already got three appointments set up next week.

Speaker 1:

So if you list it on June 10th based on these figures, in Black Mountain, of course we're looking for someone to move here right now. But this is the same way if indeed his grandson is going to buy in that area. So, uh, if you're on the market, for what is this about? 50 days let's say two months, just to make it easy july, august, that's the end of august. You are going to close based on the figures that are out there. Obviously this could change depending on your you know condition of your house, what street you're on in Black Mountain. So you're going to close in August. Now you can do if you want longer than that. You can do a thing called you may want to move before that because of schools or something somewhere else. You can do a thing called seller possession after closing. Again, I have all these tools.